Mississippi Logging Industry Challenged in 2020 by David S
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MISSISSIPPI DEPARTMENT OF AGRICULTURE & COMMERCE • ANDY GIPSON, COMMISSIONER VOLUME 92 NUMBER 14 JULY 15, 2020 JACKSON, MS Mississippi Logging Industry Challenged in 2020 By David S. Livingston times are unprecedented, which Executive Director calls for unprecedented measures. Mississippi Loggers Association The proposal is for $2.5 billion dollars that would be reserved for The logging and log trucking in- contractors that harvested/delivered dustry, even at the best of times, is wood to various mills across the an uphill challenge of ever-changing country in 2019 to apply for low in- circumstances in which the log- terest loans/grants through the U.S. ger or log trucker have absolutely Department of Agriculture to assist no control. It is a job most people them with their ability to continue would not even dream of doing sim- business operations for the next ply because of the danger and risk twelve months while their markets that these men and women face on a attempt to recover, much like the daily basis. Not only is it dangerous, assistance already given to produc- it takes a large amount of capital to ers of agricultural and seafood com- invest in a business with a marginal modities. return on investment. If a company that applies for and Our logging and log trucking in- receives the funding can prove that dustry is primarily made up of small their revenues or volume delivered family owned businesses that have are down 10% or more from 2019, the funds will be treated as a grant and forgiven. If company revenues are down less than 10% than what they declared in 2019, the funds will become a low interest loan and need been logging for generations. These won’t be noticed. In fact, the logging ging industry as well. to be repaid. people are some of the hardest work- and log trucking industry are the The Mississippi Loggers Associa- Loggers don’t typically want the ing people in our state and through- drive train of the nearly $13 billion tion and its members have joined a spotlight on them. Most loggers just out the country. dollar industry in the state. The for- national effort with the American want to go to work to do a job they As I mentioned, this industry is est industry is the #2 industry in the Loggers Council and the 34 state as- are truly passionate about and come hard even when things are good. state. The logging and forest indus- sociation affiliates to seek federal as- home to spend time with their fami- Although the industry was deemed try is largely responsible for building sistance due to the economic impact lies. I have to say that every person essential and was allowed to contin- the economy in this state, as well as, on the industry because of the ongo- should thank a logger when they ue to work through the COVID-19 many other states. ing pandemic. Loggers have never see them. Their job is the start of so pandemic, the issue with mill clo- Many loggers were eligible for the asked for any federal assistance for many of the things that are essential sures and production roll backs had Payroll Protection Plan (PPP) and anything and have always managed that we use on a daily basis. Toilet a huge affect throughout the state. took advantage of the assistance. to get through the hard times. These paper - enough said! Exports began to slow down at one The problem is that payroll is such of the busiest times of the year be- a small portion of the operating ex- cause of the COVID-19 in China and penses of a logging or log trucking other parts of the country. The in- business. Insurance, equipment pay- dustry also had been feeling the ef- ments and repairs as well as fuel and fects of tariffs on exports, especially oil products are the biggest portion in the hardwood lumber market. of expenses for the industry. The This pandemic came on the heels loggers have not been able to work of an extremely long wet winter due to mill closures and produc- that had near record rainfall for the tion reduction at mills. This makes state. The COVID-19 pandemic has it really difficult to keep up with the been the final blow to many logging fixed cost of owning a logging or and log trucking businesses in the log trucking company. Many other state. Many may say that it is a small states have reported more signifi- industry, and the economic effect cant losses in revenue for the log- Page 2 MISSISSIPPI MARKET BULLETIN July 15, 2020 Commissioner’s Policy Corner The Mississippi State Legislature Wraps Up 2020 Session By Whit Kendall signed into law is SB 2328, which passed during the 2020 session is HB Policy Advisor - MDAC increases the amount of money 1566, the “Future of Mississippi Ag- that farmers can borrow from the riculture Act of 2020.” This law ad- The 2020 legislative session will Emerging Crops Fund. This piece of dresses key issues facing Mississippi go down as one of the more unique legislation allows farmers to borrow farmers and the Mississippi Depart- sessions on record. Even though more zero-interest money in order ment of Agriculture and Commerce. COVID-19 caused the legislature to to get their farming operations off The law does four main things. First, take an unexpected break for almost the ground. it creates a nuisance wildlife pro- Andy Gipson two months, legislators were still The second piece of legislation gram in which MDAC will be able to Commissioner able to pick up where they left off that impacts agriculture is HB 326, partner with and provide outreach Andy Gipson in the spring and have a productive which increases the maximum an- for landowners on private lands. Commissioner Mississippi Department of session. nual gross sales for a cottage food Second, it allows the Commissioner Agriculture & Commerce Although agricultural legislation operation from twenty thousand to hire three more Agricultural and Mississippi Fair Commission under was not at the forefront of this ses- dollars to thirty-five thousand dol- Livestock Theft Bureau investiga- MDAC. MDAC already does many 121 North Jefferson Street sion, the legislature was able to pass lars. It also allows the advertising of tors for a total of 12. Third, it allows jobs that were intended to be done Jackson, MS 39201 multiple pieces of legislation that cottage food products over the inter- MDAC’s law enforcement vehicles to by the Fair Commission, which cre- Phone: 601-359-1100 will have a positive impact on farm- net, including through social media. be exempt from the rules and regu- ates a seamless transition. www.mdac.ms.gov ers in Mississippi. The first agricul- Another piece of legislation that lations of the Bureau of Fleet Man- Thank you for letting us keep you tural piece of legislation that was is related to agriculture that was agement. Lastly, HB 1566 moves the updated throughout the 2020 session! Ag Museum 601-432-4500 Commissioner Gipson Recognizes Christy Baker of Yazoo County as Agricultural Theft Bureau Spring ‘Wild Hog Challenge’ Winner 1-800-678-2660 By Hannah East Federation, a value of $7,500. Challenge is an initiative created in hogs.” Marketing Specialist - MDAC “Christy and her family have done 2019 to raise awareness regarding The Commissioner’s Wild Hog Aquaculture and Chris McDonald a tremendous job helping neighbor- the negative impact of wild hogs on Challenge would not have been pos- 601-359-1102 Director of Federal and ing farms in fighting the war against agriculture. The Spring 2020 Chal- sible without HogEye Cameras, who Environmental Affairs - MDAC nuisance wild hogs. The new trap- lenge had 72 entries from 22 coun- sponsored the first two challenges. Board of Animal Health ping system will be put to great use,” ties across the state. Participants “We are proud to partner with Com- 601-359-1170 Mississippi Commissioner of said Commissioner Gipson. reported 190 wild hogs harvested on missioner Gipson and the Missis- Bureau of Plant Industry Agriculture and Commerce Andy “Wild hogs cause over $60 million 33,841 acres of agriculture land. sippi Farm Bureau Federation in 662-325-3390 Gipson recognized Christy Baker of in property damage every year in “Feral hogs are an invasive, nui- raising awareness of the destruction our state, so I am proud to be a part sance species and are at the forefront caused by feral hogs. If we are going Yazoo County as the winner of the of the effort to fight these nuisance of the minds of our farmers and to win this battle, we must fight it Consumer Protection Spring 2020 Commissioner’s Wild 601-359-1148 animals and their negative impact landowners,” said Mike McCormick, together,” said Jack Robertson of Hog Challenge. Challenge partici- on agriculture. I am appreciative president of the Mississippi Farm HogEye Cameras. Fairgrounds/Coliseum pants were entered into a drawing for to all those that participated in the Bureau Federation. “We are proud For more information about the 601-961-4000 a chance to win a wild hog trapping second Commissioner’s Wild Hog to sponsor the Wild Hog Challenge Commissioner’s Wild Hog Challenge system donated by HogEye Cameras Challenge.” and commend Commissioner Gip- and to view pictures submitted, visit Genuine MS and the Mississippi Farm Bureau The Commissioner’s Wild Hog son for his efforts in controlling feral www.mdac.ms.gov/wildhogchallenge. 601-359-1159 International Trade 601-359-1196 Keep Mississippi Beautiful 601-359-1100 Livestock Market News 601-359-1159 Market Development 601-359-1159 Meat Inspection 601-359-1191 Mississippi Market Bulletin 601-359-1155 Mississippi Farmers Market 601-354-6573 Regulatory Services 601-359-1111 Petroleum Division 601-359-1101 Produce Safety 601-359-1104 Weights & Measures Commissioner Andy Gipson presents the Spring 2020 Wild Hog Challenge winner, Christy Baker of Yazoo County, with a wild hog trapping system do- 601-359-1149 nated by HogEye Cameras and the Mississippi Farm Bureau Federation.